A survey of the UK’s manufacturing industry, including food and drink businesses, found that 13% of manufacturers reported an increase in EU workers leaving their businesses.
The number of applications by European citizens for manufacturing jobs in the UK has dropped 17% since last year, leaving 50% of firms concerned about their ability to access skills post-Brexit.
The EEF also found that 16% of manufacturers had introduced schemes and policies to try to stem the haemorrhaging of EU talent from their businesses.
Increasing training programmes
Up to half (47%) of the manufacturers questioned said they were increasing training programmes for all existing employees, with 37% increasing apprenticeship and/or graduate recruitment programmes.
Improving pay and benefits packages was the route taken by 20% of companies in order to attract and retain staff for longer and 21% said they were accelerating plans for automation.
In the report – Navigating Brexit: The Migration Minefield, co-published with law firm Squire Patton Boggs – the EEF called on government to move swiftly to give companies and their workforce increased clarity over the future of EU citizens working in the UK to stem the outward flow.
Tim Thomas, director of skills and employment policy at EEF, said: “Skills shortages are endemic in manufacturing and engineering and companies are becoming increasingly concerned about their ability to access the skills they need post-Brexit.
‘Still much to be done’
“While the slump in job applications from the EU has slowed, there is still much to be done to make sure UK businesses are still able to attract the very best talent from Europe over the coming months as we proceed towards our exit from the EU, as well as retaining that talent after Britain leaves the EU.”
The EEF also warned that posting workers to the EU, even for a short time, would become more complex post-Brexit. This included sending workers to conferences or an exhibition for a day, which used the same posting mechanism as sending someone to the EU to work for a month or more.
Thomas added: “The government must deliver a good trade deal which lets businesses travel into the EU for short-term posting as a matter of urgency.
“This is particularly important in terms of servicing and repair work, which are tied into most contracts, as well as having the ability to attend trade fairs and market new products and services to sell into EU markets.”